Example salary review | Case Study | Data | Salary

Background

Following the meeting and appraisal of your job description we have compiled a specific salary assessment of your role.

The information provided has been drawn from an array of data sources. Internally the Ashdown Group carries almost 1 million salary and benefits data points from across the UK. In addition the Ashdown Group subscribe a number of aggregated data sources. Specifically we assess candidates and vacancies with similar remits, rather than job title. This is benchmarked and validated against recent roles that we have assisted other customers with, positions requiring the same skills, in the inner London area.

In addition we have looked to see if there are any material differences between the general market and the marketing industry.

The data is contextualised as follows:

Salary Trend

This information charts the average salary both nationally and locally for an IT Director of this level over the last 6 months.

Salary Spread

This tracks the salary brackets seen locally and nationally for the role over the last 6 months. This provides us with a better guide to determining the first and third quartile, eliminating the extremes and increasing the confidence and accuracy of the salary range.

Data Findings

This section will provide information on the current market in relation to the number of current roles being advertised and candidate availability. This will be the best guide to setting your own salary figure.

Candidate availability

A general commentary of the market leading to more specific appraisal of your catchment potential.

Salary Trend

Salary Spread

The chart provides the percentage spread nationally salaries for permanent IT Director over 6 months:

The chart provides the London and home county based salaries across a 6-month period as a percentage spread for all roles coming under permanent IT Director

:

Data Findings

Available market information suggests that over the past 6 months the average salary for positions advertised nationally as an IT Director is £70,800 rising from £69,350 in June. The average salary for the region is higher than the national average, sitting at £75,000 per annum currently.

Currently there are 24 vacancies for an IT Director approaching or slight beyond this level within EC and adjacent postcode. 4 appear to be industry aligned with your sector. 2 of the vacancies are paying a salary over £80,000 per annum.

Candidate Availability

General IT function overview:

The application rate of credible candidates is fair. Across an entire IT department there are high levels of employment. The market is currently in the favour of the quality candidate, with demand being higher than available supply. This is putting some (gentle) upwards pressure on salaries/rates to successfully fill positions. Low end salaries are increasing slowing with a large pool of entry level candidates. The minimum graduate salary is approximately £22,000 in London. Specialist skill set salaries and rates are rising rapidly.

Senior IT roles:

These have a good application rate, with salaries seeing no notable increase in the past 6 months. Senior roles are obviously limited in number and often appealing. There is a vast layer of people looking to step up. This volume helps contain expectations for general positions, though expect a premium for proven quality or a technical specialty.

Note on IT Developers:

Candidates with an IT Development background command a large premium. A skills gap created between employers, universities and the technical strides in the period of 2000 to 2010 means that there are a limited number of mid-level developers in the UK market. An increased number of trained graduates are reaching the job market but demand continues to out strip supply, significantly. We expect salaries to rise between 6% and 14% per annum, depending on specialisation and in 2017 we saw our first true example of a set of developers earning more than the IT Director.

Recommendations

For your industry, the salary floor for a suitable candidate is £80,000. This would allow for viable recruitment, regardless of benefits. Choice would be limited in the main to those looking to step up into the role or those without current employment.

Factoring in your current executive benefits package, to be able to consider the average of the market, including those that would require extraction from their current role we would advise a basic salary of no less than £75,000 plus a package including, car (paid parking in the car park across the road), contributory pension, at least 25 days holiday and 5-10% performance/target related bonus (total value approaching £85,000 to £90,000).

To have complete choice of the relevant market, a salary and benefits package that approaches £100,000 would be required.

Your industry position, coupled with the opportunity to progress employees to global roles, candidates’ professional needs are catered for beyond the scope of many comparable located IT Director roles. This would be a key differentiating factor in the initial stages of contact with prospects.